William Pitt and the Great War by John Holland Rose (e book reader for pc .TXT) 📖
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for she was certain to exact hard terms from a power whose credit and
whose prestige at sea had grievously suffered. Nevertheless, the
mistake, if mistake it was, is venial when compared with the
unstatesmanlike arrogance of the French Directors, who, when an
advantageous and brilliant peace was within their reach, chose to open
up a new cycle of war. Of late France had made use of the pretext that
she must gain her "natural frontiers"--the Rhine, the Alps, the
Pyrenees, and the Ocean--for the sake of security against the old
dynasties. By rejecting Pitt's overtures, her leaders now proclaimed
their resolve to dominate Italy and Germany and to secure supremacy at
sea. Their intrigues with British malcontents and the United Irishmen
also showed their determination to revolutionize our institutions. Thus
England was to be abased and insulted, while France lorded it over all
her neighbours and prepared to become mistress of the seas. The war
therefore ceased to be in any sense a war of principle, and became for
France a struggle for world-wide supremacy, for England a struggle for
national existence; and while democratic enthusiasm waned at Paris, the
old patriotic spirit revived everywhere in Great Britain. The newspapers
were full of appeals for unanimity; and on 20th November appeared the
first number of that bright and patriotic paper, the "Anti-Jacobin,"
under the editorship of Canning and Hookham Frere, which played no small
part in arousing national ardour. On the next day the French Directory
issued an appeal to France to bestir herself to overthrow the British
power, and to dictate peace at London.
There was need of unanimity; for while France was stamping out revolt,
and Great Britain felt increasingly the drag of Ireland, Pitt
encountered an antagonist of unsuspected strength. Over against his
diffuse and tentative policy stood that of Bonaparte, clear-cut, and for
the present everywhere victorious. While Pitt pursued that will o' the
wisp, a money-bought peace, the Corsican was bullying the Austrian
negotiators at Udine and Campo Formio. Finally his gasconnades carried
the day; and on 17th October Austria signed away her Netherlands to
France and her Milanese and Mantuan territories to the newly created
Cisalpine Republic. Bonaparte and the Emperor, however, agreed to
partition the unoffending Venetian State, the western half of which went
to the Cisalpines, the eastern half, along with Venice, Istria, and
Dalmatia, to the Hapsburgs. The Court of Vienna struggled hard to gain
the Ionian Islands; but on these, and on Malta, the young general had
set his heart as the natural stepping-stones to Egypt. At the close of
the year he returned to Paris in triumph, and was invited by the
Director, Barras, to go and conquer England.
Some such effort, either directly against London, or by a deadly
ricochet through Ireland, would have been made, had not Duncan, on 11th
October, crushed the Dutch off Camperdown, taking nine ships out of
fifteen. The consequences were far reaching. The Dutch navy was
paralysed; and without it the squadrons at Cherbourg and Brest were not
yet strong enough to attack our coasts, until the Toulon and Cadiz
fleets sailed northwards. Bonaparte, who was sent to survey the ports in
Flanders and the north of France, reported to the Directory on 23rd
February 1798 that there were fitting out at Brest only ten
sail-of-the-line, which moreover had no crews, and that the preparations
were everywhere so backward as to compel Government to postpone the
invasion until 1799. The wish was father to that thought. Already he had
laid his plans to seize Egypt, and now strongly advised the orientation
of French policy. A third possible course was the closing of all
continental ports against England, an adumbration of the Continental
System of 1806-13 for assuring the ruin of British commerce.
The news of Camperdown and Campo Formio added vigour to Pitt's appeal
for national union in his great speech of 10th November, in which he
gave proofs of the domineering spirit of the party now triumphant at
Paris. Very telling, also, was his taunt at the Whig press, "which knows
no other use of English liberty but servilely to retail and transcribe
French opinions." Sinclair, who had moved a hostile amendment, was so
impressed as to withdraw it; and thus at last the violence of the French
Jacobins conduced to harmony at Westminster.
Already there were signs that the struggle was one of financial
endurance. At the close of November 1797 Pitt appealed to the patriotism
of Britons to raise £25,500,000 for the estimated expenses of the next
year, in order to display the wealth and strength of the kingdom. He
therefore proposed to ask the Bank of England to advance £3,000,000 on
Exchequer bills; and he urged the propertied classes to submit to the
trebling of the Assessed Taxes on inhabited houses, windows, male
servants, horses, carriages, etc. The trebling of these imposts took the
House by surprise, and drew from Tierney, now, in the absence of Fox,
the leader of Opposition, the taunt that Pitt had to cringe to the Bank
for help. A few days later Pitt explained that the triple duty would
fall only upon those who already paid £3 or more on that score. If the
sum paid were less than £1 it would be halved. Those who paid £3 or more
would be charged at an increasing rate, until, when the sum paid
exceeded £50, the amount would be quadrupled. Nor was this all. By a
third Resolution he outlined the scheme of what was in part a
progressive Income Tax. Incomes under £60 were exempt; those between £60
and £65 paid at the rate of 2_d._ in the pound; and the proportion rose
until it reached 2_s._ in the pound for incomes of £200 or more.
Though Pitt pointed out the need of a patriotic rejoinder to the threats
of the French Government, the new Assessed Taxes aroused a furious
opposition. "The chief and almost only topic of conversation is the new
taxes," wrote Theresa Parker to Lady Stanley of Alderley. "How people
are to live if the Bill is passed I know not. I understand the
Opposition are much elated with the hope of the Bill's being passed, as
they consider Mr. Pitt infallibly ruined if it does, and that he must go
out."[468] The patriotism of London equalled that of the Foxites. City
men, forgetting that the present proposals were due to the shameless
evasions of the Assessed Taxes, raised a threatening din, some of them
declaring that Pitt would be assaulted if he came into the City. Several
supporters of Pitt, among them the Duke of Leeds, Sir William Pulteney
and Henry Thornton, opposed the new imposts, and the Opposition was
jubilantly furious. Sheridan, who returned to the fray, declared that
though the poor escaped these taxes they would starve; for the wealth
which employed them would be dried up. Hobhouse dubbed the Finance Bill
inquisitorial, degrading, and fatal to the virtues of truthfulness and
charity. Squires bemoaned the loss of horses and carriages and the hard
lot of their footmen. Arthur Young warned Pitt that if the taxes could
not be evaded, gentlemen must sell their estates and live in town. Bath,
he was assured, welcomed the new imposts because they would drive very
many families thither. He begged Pitt to reconsider his proposals, and,
instead of them, to tax "all places of public diversion, public dinners,
clubs, etc., not forgetting debating societies and Jacobin meetings";
for this would restrain "that violent emigration to towns, which the
measure dreadfully threatens."[469]
A sign of the hopes of the Opposition was the re-appearance of Fox.
Resuming his long vacant seat, he declared Pitt to be the author of the
country's ruin. For himself, he upheld the funding system, that is, the
plan of shelving the debt upon the future. The palm for abusiveness was,
however, carried off by Nicholls and Jekyll. The former taunted Pitt
with losing all his Allies and raising France to undreamt-of heights of
power, with failing to gain peace, with exhausting the credit and the
resources of England until now he had to requisition men's incomes. As
for Jekyll, he called the present proposals "a detestable measure of
extortion and rapacity." The debates dragged on, until, after a powerful
reply by Pitt in the small hours of 5th January 1798 the Finance Bill
passed the Commons by 196 to 71. The Lords showed a far better spirit.
Carrington declared that Pitt's proposals did not go far enough. Lord
Holland in a maiden speech pronounced them worse than the progressive
taxes of Robespierre. But Liverpool, Auckland, and Grenville supported
the measure, which passed on 9th January 1798 by 75 to 6.
For a time the Finance Bill injured Pitt's popularity in the City.
During the State procession on 19th December 1797, when the King, Queen,
and Ministers went to St. Paul's to render thanks for the naval triumphs
of that year, he was hooted by the mob; and on the return his carriage
had to be guarded by a squadron of horse. Nevertheless, it is now clear
that Pitt's proposals were both necessary and salutary. The predictions
of commercial ruin were soon refuted by the trade returns. Imports in
1798 showed an increase of £6,844,000 over those of 1797; exports, an
increase of £3,974,000. In part, doubtless, these gratifying results may
be ascribed to renewed security at sea, the bountiful harvest of 1798,
and the recent opening up of trade to Turkey and the Levant. But, under
a vicious fiscal system, trade would not have recovered from the severe
depression of 1797. Amidst all the troubles of the Irish Rebellion of
1798, Pitt derived comfort from the signs of returning prosperity.
The confidence which he inspired was proved by the success of a
remarkable experiment, the Patriotic Contribution. In the midst of the
acrid debates on the Finance Bill, the Speaker, Addington, tactfully
suggested the insertion of a clause enabling the Bank of England to
receive voluntary gifts, amounting to one-fifth of the income. Pitt
gratefully adopted the proposal, and early in the year 1798 patriots
began to send in large sums. Pitt, Addington, Dundas, the Lord
Chancellor, and Lords Kenyon and Romney at once gave £2,000 each; the
King graciously allotted from the Privy Purse £20,000 a year during the
war. The generous impulse speedily prevailed, and the City once more
showed its patriotism by subscribing £10,000; the Bank gave £200,000. A
platform was erected near the Royal Exchange for the receipt of
contributions. Among others, a wealthy calico printer, Robert Peel,
father of the statesman, felt the call of duty to give £10,000. He went
back to Bury (Lancashire) in some anxiety to inform his partner, Yates,
of this unbusinesslike conduct, whereupon the latter remarked, "You
might as well have made it £20,000 while you were about it." If all
Britons had acted in this spirit, the new taxes would have met the needs
of the war. But, as will subsequently appear, they failed to balance the
ever growing expenditure, and Pitt in 1799-1800 had to raise loans on
the security of the Income Tax to make up its deficiencies.
A pleasing proof of the restoration of friendship between Auckland and
Pitt appears in a letter in which the former asked advice as to the
amount which he should give to this fund. He was now Postmaster-General,
and stated that his total gross income was £3,600, out of which the new
taxes took £320. Should he give £1,000? And what should he give for his
brother, Morton Eden, ambassador at Vienna? Pitt answered that £700
should be the utmost for him; the sum of £500 for Morton would also be
generous.[470] On the whole, £2,300,000 was subscribed--a sum which
contrasts remarkably with the driblets that came in as a response to
Necker's appeal in the autumn of 1789 for a patriotic contribution of
one fourth of the incomes of Frenchmen.
Even so, Pitt had to impose new taxes in his Budget of 1798, and to
raise a loan of £3,000,000. Further, on 2nd April, he proposed a
commutation of the Land Tax. Of late it had been voted annually at the
rate of 4_s._ in the pound, and produced about £2,000,000. Pitt now
proposed to make it a perpetual charge upon parishes, but to enable
owners to redeem their land from the tax at the existing valuation. The
sums accruing from these sales were to go to the reduction of the
National Debt. His aim, that of enhancing credit, was as praiseworthy as
his procedure was defective. For there had been no valuation of the land
for many years, and the assessments varied in the most surprising manner
even in neighbouring districts. Doubtless it was impossible during the
Great War to carry out the expensive and lengthy process of a national
valuation; but, as manufactures and mining were creating a new
Industrial England, the time was most unsuited to the imposition of a
fixed quota of Land Tax.
Nevertheless, Pitt took as basis
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